Texas 2017 - 85th 1st C.S.

Texas House Bill HB119 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	85S10248 SMH-D
2	2	By: Shine H.B. No. 119
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the authority of the governing body of a taxing unit
8	8	other than a school district to adopt an exemption from ad valorem
9	9	taxation of a portion, expressed as a dollar amount, of the
10	10	appraised value of an individual's residence homestead and the
11	11	authority of the governing body of certain taxing units that have
12	12	adopted such an exemption to reduce the amount of or repeal certain
13	13	other exemptions.
14	14	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
15	15	SECTION 1. Section 11.13, Tax Code, is amended by amending
16	16	Subsection (i) and adding Subsections (n-2), (s), and (t) to read as
17	17	follows:
18	18	(i) The assessor and collector for a taxing unit may
19	19	disregard the exemptions authorized by Subsection (b), (c), (d),
20	20	[or] (n), or (s) [of this section] and assess and collect a tax
21	21	pledged for payment of debt without deducting the amount of the
22	22	exemption if:
23	23	(1) prior to adoption of the exemption, the unit
24	24	pledged the taxes for the payment of a debt; and
25	25	(2) granting the exemption would impair the obligation
26	26	of the contract creating the debt.
27	27	(n-2) Notwithstanding Subsection (n-1), the governing body
28	28	of a municipality or county that adopted an exemption under
29	29	Subsection (n) for the 2014 tax year may repeal the exemption if the
30	30	governing body adopts an exemption under Subsection (s) in an
31	31	amount greater than $5,000. This subsection expires December 31,
32	32	2019.
33	33	(s) In addition to any other exemptions provided by this
34	34	section, an individual is entitled to an exemption from taxation by
35	35	a taxing unit other than a school district of a portion of the
36	36	appraised value of the individual's residence homestead if the
37	37	exemption is adopted by the governing body of the taxing unit before
38	38	July 1 in the manner provided by law for official action by the
39	39	body. The amount of the exemption is $5,000 of the appraised value
40	40	of the residence homestead, except that if the average market value
41	41	of residence homesteads in the taxing unit in the tax year in which
42	42	the exemption is adopted exceeds $25,000, as calculated based on
43	43	the appraisal records prepared by the chief appraiser of each
44	44	appraisal district in which the taxing unit participates, the
45	45	governing body may authorize an exemption in a larger dollar amount
46	46	not to exceed an amount equal to 20 percent of the average market
47	47	value of residence homesteads in the taxing unit in the tax year in
48	48	which the exemption is adopted.
49	49	(t) This subsection applies only to a taxing unit the
50	50	governing body of which has ceased granting an exemption under
51	51	Subsection (n) and has adopted an exemption under Subsection (s).
52	52	An individual who would have been entitled to an exemption from
53	53	taxation by the taxing unit under Subsection (n) had the governing
54	54	body not ceased granting an exemption under that subsection is
55	55	entitled to continue to receive an exemption under that subsection
56	56	in lieu of the exemption under Subsection (s) if the individual
57	57	otherwise qualifies for the exemption under Subsection (n) and the
58	58	amount of the exemption under that subsection exceeds the amount of
59	59	the exemption under Subsection (s). The exemption applies only to
60	60	property for which the individual received an exemption under
61	61	Subsection (n) in the last year in which the governing body granted
62	62	an exemption under that subsection. The exemption expires in the
63	63	event of a change in ownership of the property or, if the property
64	64	is owned by a qualifying trust and the trustor of the trust or a
65	65	beneficiary of the trust has the right to use and occupy the
66	66	property as the trustor's or beneficiary's principal residential
67	67	property, there is a change in the trustor or beneficiary of the
68	68	trust, respectively.
69	69	SECTION 2. Section 25.23(a), Tax Code, is amended to read as
70	70	follows:
71	71	(a) After submission of appraisal records, the chief
72	72	appraiser shall prepare supplemental appraisal records listing:
73	73	(1) each taxable property the chief appraiser
74	74	discovers that is not included in the records already submitted,
75	75	including property that was omitted from an appraisal roll in a
76	76	prior tax year;
77	77	(2) property on which the appraisal review board has
78	78	not determined a protest at the time of its approval of the
79	79	appraisal records; and
80	80	(3) property that qualifies for an exemption under
81	81	Section 11.13(n) or (s) that was adopted by the governing body of a
82	82	taxing unit after the date the appraisal records were submitted.
83	83	SECTION 3. This Act applies only to ad valorem taxes imposed
84	84	for a tax year that begins on or after the effective date of this
85	85	Act.
86	86	SECTION 4. This Act takes effect January 1, 2018, but only
87	87	if the constitutional amendment proposed by the 85th Legislature,
88	88	1st Called Session, 2017, authorizing the governing body of a
89	89	political subdivision other than a school district to adopt an
90	90	exemption from ad valorem taxation of a portion, expressed as a
91	91	dollar amount, of the market value of an individual's residence
92	92	homestead and authorizing the legislature to prohibit the governing
93	93	body of a political subdivision that adopts such an exemption from
94	94	reducing the amount of or repealing the exemption is approved by the
95	95	voters. If that amendment is not approved by the voters, this Act
96	96	has no effect.